As per a report released by InGovern Research Services, Sun Pharma, a consultancy firm advising investors on corporate governance and proxy voting, is was likely to fund Sudhir Valia?s 26 per cent stake in Telewings Communication.
Telewings Communication is a newly created subsidiary of Telenor through which it plans to bid in the upcoming 2G spectrum auction. Early this week, Telewings Communication signed a joint venture agreement with Sudhir Valia-owned Lakshdeep Investments & Finance Private Limited. Valia has picked up 26 per cent stake in Telewings Communication. Valia is also the executive director of Sun Pharma.
According to InGovern Research Services, Sun Pharma could extend indirect financial help to fund Valia?s investment in Telewings Communication. The pharma company could provide guarantees or collateral to banks to fund Valia?s 26 per cent stake in the telecom company. The firm also expects Lakshdeep Investments & Finance Private Limited?s 26 per cent equity contribution to Telewings Communications, in the range of Rs 20 to 25 billion. And it expects Sun Pharma to provide funding to the tune of about Rs 10 to 12 billion.
The report by InGovern Research Services says that as per the financial statements of Lakshdeep Investments & Finance Private Limited for the year ending March 31, 2011, the company holds 17,113,000 shares of Sun Pharma with the aggregate market value of quoted investments as of March 31, 2011 being Rs 7.82 billion. Therefore, the total value of investments by Lakshdeep Investments & Finance Private Limited in Sun Pharma as of September 30, 2012, turns out to be Rs 12 billion. And it holds 11,113,000 shares of Sun Pharma at an approximate value of Rs 7.6 billion.
